Karnataka cabinet clears new employment policy, aims to increase jobs

PTI, Jul 23, 2022, 9:34 AM IST

The Karnataka cabinet on Friday gave its approval to the ‘Karnataka Employment Policy 2022-25′, mandating industries either expanding or setting up new units in the state, to increase the number of jobs they provide.

The policy cleared by the cabinet chaired by Chief Minister Basavaraj Bommai is aimed at generating more employment in the state, especially to locals, with job opportunities dwindling.

“There were specific guidelines on how various units should provide employment. Under the new policy, we have said that the number of jobs should be increased and locals should be employed. We have categorised industries,” Law and Parliamentary Affairs Minister J C Madhuswamy said.

Speaking to reporters after the cabinet meeting, he said, for instance, if an industry is classified as medium scale, where the minimum employment is 20, on an agreement to create seven more jobs, the policy allows an additional investment of up to Rs 10 crore.

“Similarly, if a unit plans on increasing working capital by Rs 50 crore, it has to create a minimum of 30-50 jobs, and for increasing investment up to Rs 100 crore, minimum 35 additional jobs should be created for locals,” he added.

Further, stating that the government has also increased the minimum job generation requirement of industries, Madhuswamy said for super mega units, they were earlier required to employ 750 and it has now been increased to 1,000.

“Similarly for ultra mega units, which were earlier required to create a minimum of 400 jobs, will now have to generate 510. For mega units, it has been increased from 200 to 260 employees,” he said adding that the minimum job requirement of large scale industry will now be 60 from 50 earlier, and for a medium-scale industry it is now 20 from 10-15 earlier.

Stating that the industries’ classifications have been made based on investments, the minister said, if the companies have to invest additionally, they will have to create extra jobs based on the criteria explained in the policy.

The cabinet has also approved Rs 132 crore to provide a pair of black shoes and two sets of white socks to about 46.37 lakh school students studying in government schools.

It has also decided to amend the guidelines for the release of inmates serving life imprisonment at various prisons across the state ahead of schedule.

“It has been decided to leave those convicted under POCSO Act and multiple murder cases from the catagory,” Madhuswamy said.

The cabinet also reiterated its stand that the recommendations of the Kasturirangan Committee on eco-sensitive areas (ESAs) of the Western Ghats cannot be implemented and the state’s opposition to it.

Pointing out that the state has expressed its reservation against the report twice in the past, the minister said, “…the state government cannot accept the report and allow eviction of those living in the region. Our stand will be conveyed to the Union government…the CM takes a delegation to Delhi in the next few days.”

Among the other decisions taken are to acquire 240 acres of land to develop the Mysuru airport.

The land will be handed over to Airports Authority of India and Rs 9.29 crore will be spent on it, Madhuswamy said, adding that it has also been decided to name Mysuru airport after the late Maharaja Nalwadi Krishna Raja Wadiyar.